HK Stock Market Move | Yancoal Australia (03668) rose nearly 3% at the close, reportedly New South Wales, Australia will ban the construction of new coal mines.

YANCOAL AUS (03668) rose by nearly 3% at the close, rising by 2.6% to HK$47.32 by the time of this report, with a turnover of HK$2.22 billion. According to reports, the Australian state of New South Wales, the second largest coal-producing state, will prohibit new coal mining projects. The state government stated in a declaration on Thursday that it will not approve so-called "greenfield" coal mining projects, aiming to reduce emissions and achieve its net zero goal. This ban will not affect existing coal mines or their expansion projects. Major coal mining companies in the state include Glencore, YANCOAL AUS, and Whitehaven Coal. Guosheng released a research report stating that Indonesia's production reduction lays the foundation for an increase in overseas coal prices; the US-Iran conflict has led to a surge in demand for coal as a substitute for oil and gas, strengthening the upward logic and rate of increase; with the ongoing closure of the Strait of Hormuz, some countries may face a shortage of diesel supply, significantly increasing the cost of coal as a fuel for tonnage; but more importantly, this may lead to passive production reduction or even suspension of production in their mines due to a shortage of diesel, further tightening the global coal supply, exacerbating supply and demand contradictions.